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Sydney-based drone defence technology group DroneShield (ASX: DRO) has sold a milestone 4,000 systems globally since inception after securing a package of two stand-alone contracts totalling $7.9 million for handheld systems destined for the US Department of Defense.
The latest contracts are repeat orders from the US customer which the company says strengthens its position as a provider of mission-critical solutions to address the growing challenge of drone threats on the modern battlefield and the civilian sector.
“Passing 4,000 systems in service is an important milestone for our team and our customers,” says Matt McCrann, the US CEO of DroneShield.
“It underlines the performance and dependability of our solutions in the field, and the trust placed in DroneShield by those who rely on them.”
The latest orders, which will be supplied within 30 days from existing stock, build on DroneShield’s existing US Department of Defense programs that are already deploying the company’s systems.
DroneShield, which posted a 210 per cent increase in revenue for the first half of FY25 to a record $72.3 million, is currently tracking well above this sales total in the current quarter.
The company says its recognised third-quarter revenue to date currently stands at $77 million, with more sales yet to be factored into the total by the end of this month.
“As our customers seek to step up from their early small-scale evaluation purchases into full-scale procurement, we are seeing rapidly rising customer demand,” says DroneShield CEO Oleg Vornik.
“Counterdrone is still at its nascency with our customers requiring very significant additional purchases to progress to the required levels of counterdrone defence.
“DroneShield is a well-regarded industry leader globally, and we expect to continue to benefit from this rising demand.”
Among the 4,000 devices sold by DroneShield to date are 2,200 RfPatrols, which are produced by an Australian contract manufacturing partner.
The RfPatrol is a passive, or non-emitting, lightweight and intuitive drone detection device designed to enhance situational awareness by alerting users to the presence of drones in real time, without requiring specialist training or complex setup.
The RfPatrol has featured in many high-profile programs, including the company’s all-time record $61.6 million European contract in mid-2025 and the recent $5 million order for the Australian Government’s Land 156 Line of Effort 2 program, delivering handheld drone detection and neutralisation equipment to the Australian Defence Force.
They were also part of a $10.4 million contract to Ukraine in 2023, through the Australian Government’s only Ukraine counter-drone aid package.
DroneShield notes that its production capacity is underpinned by a robust Australian supply chain with about 85 per cent of components for the device sourced from local manufacturers in NSW, Victoria, Queensland, South Australia and Western Australia.
In July, the defence technology company announced a $13 million investment towards expanding its manufacturing and R&D capability.
This includes a multi-year lease and fitout commitment into a new 3,000sqm production facility in Sydney’s Alexandria which is expected to open in December this year, and will also add 2,500sqm of R&D area to its headquarters.
DroneShield reports the expansion will lift its own annual production capacity to $900 million in estimated value by mid-2026, with a combined manufacturing capacity to $2.4 billion by the end of 2026.
Shares in DroneSheild closed today at $3.20, up 6c.
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